Rentals Return to Pre-Covid Levels in Key Markets: Embassy Office Parks

Michael Holland, managing director (CEO) of Embassy Office Parks REIT, said on Wednesday there was a slight increase in leasing. Holland also said rentals had returned to pre-COVID-19 levels in key markets like Bangalore.

The real estate developer posted earnings for the quarter ended September largely in line with estimates. The company’s launch pipeline also looks healthy.

“Not only us, but other publicly traded real estate investment trusts (REITs) are also seeing an encouraging and positive increase in new inquiries and new leases. There is a 66 percent increase in the number of views; businesses looking for new spaces, ”Holland said in an interview with CNBC-TV18.

The demand comes from the technology sector and global captive centers, he said. “Due to the super wave of hiring that we’ve all heard about in the tech industry – it’s now starting to impact the demand for office space. Thus, its Global Technology and Captive Centers (GCC); it’s the offshore centers that are captive centers for international companies and that’s a big part of our portfolio, ”said Holland.

Regarding rentals, he said, “It’s back to pre-COVID levels in key markets like Bangalore and there’s a significant increase because rentals have held up. However, the issue is not at the level of rental. The problem is the availability of space.

For the full management interview, watch the video

(Edited by : Aditi Gautam)

First publication: STI